Investing.com -- Shares of The Trade Desk (NASDAQ: TTD ) climbed 3%, while Criteo (NASDAQ: CRTO ) and Magnite (NASDAQ: MGNI ) jumped 8% and 5% respectively, after Google (NASDAQ: GOOGL ) announced it would continue allowing third-party cookie choice in Chrome. This decision, detailed on Google’s website by VP Anthony Chavez, is a departure from the previously considered standalone prompt for third-party cookies, which would have more directly impacted the availability of third-party cookies in the browser.

The move by Google, which was largely unexpected, has been seen as a positive development for advertising technology companies like The Trade Desk, Criteo, and Magnite. These firms rely on third-party cookies to target ads effectively, and Google’s decision to maintain the status quo, at least for the time being, alleviates some of the immediate pressure on their business models.

In his statement, Chavez emphasized that Google’s goal with the Privacy Sandbox initiative is to balance privacy with a sustainable ad-supported internet. Despite the potential changes, Google has decided against implementing a new prompt for third-party cookies after considering the diverse perspectives within the industry and the evolving regulatory and technological landscape.

Google has committed to continuing the enhancement of tracking protections in Chrome’s Incognito mode and plans to launch IP Protection in Q3 2025. Meanwhile, the company will seek feedback from the industry on the updated roadmap for Privacy Sandbox APIs and future investment areas.

This news comes as a relief to ad tech companies, which had been preparing for a more restrictive environment around third-party cookies. The stock movements today reflect investor confidence that these companies can continue to operate effectively under Google’s current policy framework.

It’s important to note that while Google’s decision is a positive development for these companies in the short term, the broader industry trend is moving towards greater privacy protections and the potential for future regulatory changes. As such, the ad tech sector may still face challenges ahead as it adapts to an evolving digital advertising landscape.